1 week ago
Haryana builder ordered to hand over flat after eight-year delay
A 73-year-old man paid a builder Rs 19.62 lakh for a flat.
He was supposed to receive the flat by 2019, but possession was not given.
The builder said the buyer had stopped paying instalments and that Covid-19 delayed construction.
The consumer commission disagreed with the builder’s explanation.
It said the delay began before the pandemic and lockdown.
The commission ordered the builder to finish the work and give the man the flat within 30 days.
The builder must also pay interest on the money kept since November 2018.
It must additionally pay Rs 2.10 lakh for the man’s hardship and legal costs.
The Rohtak Consumer Disputes Redressal Commission ordered the builder to deliver the flat within 30 days.
The 73-year-old buyer had paid the basic sale consideration of Rs 19.62 lakh by November 24, 2018.
The commission directed the builder to pay 9 per cent annual interest until possession is delivered.
The builder must also pay Rs 2 lakh compensation and Rs 10,000 in litigation expenses.
The commission rejected the builder’s argument that Covid-19 caused the delay, saying the deadline had already expired.
- Who
- A 73-year-old Haryana homebuyer and the builder who sold him a flat.
- What
- The Rohtak Consumer Disputes Redressal Commission ordered possession, interest, compensation and litigation costs for delayed delivery.
- Where
- The flat is in Panchkula, Haryana, and the case was decided by the Rohtak Consumer Disputes Redressal Commission.
- When
- The flat was allotted in 2015, the agreement was signed on March 21, 2016, and possession was expected by March 2019; the commission order was dated August 17.
- Why
- The commission found that the builder failed to deliver possession within the agreed period despite retaining the buyer’s money.
Homebuyer’s case
Builder’s defence
Payment and possession
Homebuyer’s case
The buyer said he had paid the required amount, including through housing finance, but never received possession within the agreed four-year period.
Builder’s defence
The builder argued that the buyer stopped paying instalments despite demand letters, call notices and reminders.
Reason for delay
Homebuyer’s case
The buyer sought compensation for the prolonged delay and loss of use of the flat.
Builder’s defence
The builder relied on the agreement’s tentative possession date and force majeure clause, arguing that Covid-19 and the nationwide lockdown disrupted construction.
Commission’s finding
Homebuyer’s case
The commission held that the buyer should not be made to wait indefinitely after investing his money in the project.
Builder’s defence
The commission rejected the pandemic defence, finding that the possession deadline had expired before the March 25, 2020, lockdown.
Key facts
- Buyer’s age
- 73 years
- Basic sale consideration
- Rs 19.62 lakh
- Payment completed
- November 24, 2018, according to the commission’s order
- Expected possession
- By March 2019
- Interest ordered
- 9 per cent annually on Rs 19.62 lakh until actual possession
- Compensation
- Rs 2 lakh for mental agony, harassment, financial inconvenience and service deficiency
- Litigation expenses
- Rs 10,000
- Deadline for compliance
- Within 30 days
Quotes
Rohtak Consumer Disputes Redressal Commission
Consumer dispute commission hearing the homebuyer’s complaint
“The complainant, who is a senior citizen, has been deprived of the use and enjoyment of the flat despite making the substantial payment and arranging housing finance for the same. We are, therefore, of the considered view that there is clear deficiency in service on the part of the opposite parties.”
indianexpress.com
“The agreed period for delivery of possession had already expired before the commencement of the nationwide lockdown on March 25, 2020. Therefore, the opposite parties cannot take shelter under the Covid-19 pandemic for a delay which had already occurred before the pandemic began.”
indianexpress.com
Sources
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